Many of you upon reading the title of the post probably answered, “Not me. No way am I average.” However, here are some statistics about the average U.S. citizen:
- 70% of Americans live paycheck-to-paycheck
- 65% of Americans don’t have enough saved to cover one month’s worth of expenses if they were to lose their job
- 80% of Americans identify money as a significant source of stress
- 45% of Americans over the age of 55 have less than $25,000 saved for retirement; 30% (of all American workers) have less than $1,000 saved
- 77% of Americans expect to hold a job in “retirement”
If you fall into any of the above, then when asked, “Are you average?” You would have to revise your answer to “Yes, I am average.” Personally, I don’t believe that anyone of you wants to be this type of average. You can start to change yourself from average to above average or excellent. In order to accomplish this, you need to start living below your means. This will keep you from living paycheck-to-paycheck. You have to get out of debt. You have to start using cash. You have to stop using credit cards. You most definitely have to start a budget and live by it. You have to start saving for emergencies. You have to build-up eight to twelve months of living expenses in your emergency fund. You have to start saving for retirement. You have to start paying more on your home mortgage or saving for your home. You have to start saving for your children’s college.
If you don’t do the above, then you will just be average and suffering. You are going to be a slave to debt. You are going to experience stress. You won’t have enough money to retire. Your children will end-up with student loan debt unless they qualify for scholarships or other student aids. You’ll continue living paycheck-to-paycheck. The decision is yours on whether you want to be average or not.